HK Stock Market Move | NEW WORLD DEV(00017) rose more than 5% in the afternoon. The company will release its annual performance at the end of the month. Morgan Stanley predicts that the interest rate cut will drive property prices to rebound.

NEW WORLD DEV (00017) rose more than 5% in the afternoon, rising 4.82% as of the time of writing, to 6.74 Hong Kong dollars, with a turnover of 25.3493 million Hong Kong dollars. On the news front, NEW WORLD DEV announced that it plans to hold a board meeting on September 26 to approve its annual performance. BOCOM INTL previously pointed out that NEW WORLD DEV has disclosed the latest financial situation for the fiscal year 2024 and made preliminary estimates on annual profits and some provisions, expecting to possibly record a core operating profit of 6.5 billion to 6.9 billion Hong Kong dollars. Morgan Stanley predicts that the Hong Kong Interbank Offered Rate (HIBOR) for next year will drop to 2.75% in one month, and the actual mortgage rate under the most favorable rate (P-1.75%) will drop to 3.25%. The bank believes that compared to retail and office buildings, Hong Kong's residential market will benefit more from the US rate cuts. They expect the residential building prices in Hong Kong to rebound by 5% next year, after falling by 8% this year, which is a 30% drop from the peak. The bank estimates that every 100 basis point drop in the Hong Kong Interbank Offered Rate can increase the average profit of Hong Kong developers by 5%.